Retail bank leaders believe they should be doing everything in their power to achieve a single view of the customer, but hat’s not how the regulatory authorities see it.“When banks strive to achieve that single view of the customer,Know Your Customer (KYC) checks and Anti-Money Launder-ing (AML) regulations that pre-date the financial crisis. “Someof those rules force banks to ring-fence certain operationsso that one person in the bank can’t talk to another person inthe bank about a customer. Some of the customer experiencechallenges banks confront relate to poor internal organization butmany of them relate to regulatory requirements, which are likelyto intensify in response to cyber risks.”Clayton Mitchell is a principal in Crowe Horwath LLP’s riskconsulting area who specializes in financial services. He notes thatregulatory requirements continue to change, and these changeswill likely affect the pace of digital transformation among banks.

“Changing regulatory and business requirements,” Mitchell
notes, “hold back progress in these situations, regardless of
whether the regulations are more or less stringent.” —E.K.

process-oriented,” says Jankowski. “While they
can do digital competently, their nature is to go
in and fix the bank. And there is a lot of meaningful work to be done in the back office.”

Redefining Customer Experience

Thanks to heightened customer expectations—largely shaped by the digital experiences
delivered by GAFA (Google, Apple, Facebook
and Amazon)—providing a convenient digital
experience has become table stakes for banks.

“That doesn’t mean it’s easy—having a com-pelling front end is relatively straightforward,but actually delivering a great experience is stilldifficult for many banks, especially when youmix in-branch and digital components of the ex-perience - and the reason why it’s so tricky oftengets back again to the legacy technology issue,”says Williams. “It’s hard to graft a digital front-end onto a 50-year-old mainframe architecture.Designing a nice app isn’t really that hard any-more, but that’s just scratching the surface. And,of course, the CX still ultimately comes down tothe culture—you have to care.”This cascading set of CX challenges is keep-ing consultants busy. While the largest banks havemade strides identifying how they intend to trans-form the customer experience, many banks out-